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Tsd amount deducted and paid

11 August 2021

bill date is 15/05/2021
gst claimed and book entered 15/05/2021 date
bill amount paid on 15/07/2021 tds deducted on 15/07/2021 tds paid on 4th August 2021

this is right ??

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9 Replies

prasad Nilugal ( GST Practitioner & Accounts ) (14811 Points)
Replied 11 August 2021

What is the section ?. you have deducted .

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Nishu Kotian (332 Points)
Replied 11 August 2021

194c section

shrawan choudhary (132 Points)
Replied 11 August 2021

In my opinion,Time of deduction- earlier of credit or payment .

prasad Nilugal (3914 Points)
Replied 11 August 2021

I think last date of payment of TDS is normally 7th and you paid on 4th I think it's write . please confirm with others also.

1 Like

CMA Poornima Madhava (CMA) (13112 Points)
Replied 11 August 2021

Since you have booked the transaction on 15th May, TDS should have been deducted and paid on or before 7th June 2021 else interest would be applicable.

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prasad Nilugal (3914 Points)
Replied 11 August 2021

But as per the section 194C , Time of deduction is credit to account or payment in cash or cheque.

CMA Poornima Madhava (CMA) (13112 Points)
Replied 11 August 2021

It is the date of credit or the date of payment, WHICHEVER IS EARLIER

CA Puja Sharma (Chartered Accountant) (5010 Points)
Replied 11 August 2021

TDS should have been deducted on 15.05.2021 and paid to the government by 07.06.2021.

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P Venkateswarlu (Deputy Manager-Taxation) (47 Points)
Replied 14 August 2021

Bill date is not so important, TDS should deductible on date of debit to the expenditure or payment to the vendor which ever is earlier, and TDS should deposit within 7 days after the last day of previous month